Chrysler May Extend Warranty Coverage

Chrysler may extend its warranty coverage on new vehicles to better compete with 100,000-mile offers by Hyundai and General Motors, The Detroit News reported.

Chrysler told employees in a recent online question-and-answer session that it is considering changes to its warranty program, the story said. "With the recent increases in warranty coverage by some of our competitors, sales and marketing will likely re-evaluate the business case for our warranty coverage and act accordingly," according to a copy of the Q&A obtained by The Detroit News.

In 2002, Chrysler introduced a seven-year/70,000 mile warranty for all Chrysler, Dodge and Jeep models after a seven-year/100,000-mile limited offer helped spark sales after the September 11 terror attacks.

But the "7/70" deal ended in 2005 and was replaced with a basic three-year, 36,000-mile warranty that covers engines, transmissions and other powertrain components.